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2020 (3) TMI 370 - AT - Central ExciseRefund of CENVAT Credit - doctrine of unjust enrichment - rejection of refund on the ground that the appellant herein did not produce any evidence to show that the incidence of service tax has not been passed on to any other person - HELD THAT:- Insofar as establishing the issue of doctrine of unjust enrichment is concerned, posting of the refund figure in the balance sheet under the head “Claims Receivable” is recognised as an acceptable principle in the accounting policy. Thus, on reflection of the refund amount in the balance sheet under such heads of account, without making any specific treatment/entry of the same in the profit and loss account should prove the fact that the incidence of duty of the tax amount has not been passed on to any other person. Thus, we are of the considered view that the balance sheet should be considered as the primary evidence and not secondary evidence, as held in the impugned order. Inasmuch as the appellant herein has specifically produced the profit & loss account as well as the balance sheet for the relevant period, both before the original as well as first appellate authority, to demonstrate that the incidence of duty has not been passed on to any other person and the same has in fact, been borne by it. Since entry in the accounting head of “Loans and Advances” under the column of “Claims Receivable” is sacrosanct for consideration of the issue of applicability of the doctrine of unjust enrichment, the case in hand merits consideration in favour of appellant and thus, the amount in question should appropriately be paid to the claimant-appellant instead of it being credit to the Consumer Welfare Fund. There are no merits in the impugned order passed by the Ld. Commissioner (Appeals) - appeal allowed - decided in favor of appellant.
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